Swiss Market Index, also known as SMI or SWITZERLAND 20 is a stock index of the Swiss Exchange (located in Zurich). Though this index does not comprise many constituents (just 20, as you have already guessed), it accounts for up to 80% of the entire Swiss Exchange’s capitalization.
Surely, the SWITZERLAND 20 Index is made up of the most powerful and influential companies of the nation involved in the insurance business, investments, drug manufacturing, biotechnologies, business advisory and non-financial sector (robotics, petroleum machinery development, telecommunications, and food production).
Today’s constituents of the SWITZERLAND 20 Index are:
- ASEA Brown Boveri
- Nestlé S.A.
- Compagnie Financière Richemont SA
- Hoffmann-La Roche AG
- LafargeHolcim Ltd
- The Adecco Group
- Credit Suisse Group AG
- Novartis International AG
- SGS S.A.
- Sika AG
- Zurich Insurance Group Ltd
- Lonza Group
- The Swiss Life Group
- Swiss Reinsurance Company Ltd
- Swisscom AG
- UBS Group AG
- The Swatch Group Ltd
One of the most interesting things about the SWITZERLAND 20 Index is that it has a capped weighting feature. It means that the individual weight of each constituent cannot exceed 18% of the total index capitalization.
What affects the index price?
- The SWITZERLAND 20 Index is subjected to the influence of USD and EUR rate;
- Apart from major companies, the SWITZERLAND 20 Index also contains some minor companies which are quite vulnerable due to a relatively small capitalization;
- The SWITZERLAND 20 Index depends on European monetary policy and the Swiss National Bank decisions.
Brokers trading the SWITZERLAND 20 Index
Plus500 is a famous London-based broker whose speckles reputation and good credibility stem from the Financial Conduct Authority license. The broker specializes in CFD across European and Asian markets and currently boasts over 1000 tradable instruments (including crypto) for over 1M clients. The SMI index is traded here at a spread of just 3 pips.
AVA Trade is an international brokerage firm with representative offices in Paris, Milan, Madrid, Santiago, Dublin, Sydney, and Tokyo, while its headquarters are found in Dublin, Ireland. The broker is compliant with 6 regulators: the Central Bank of Ireland, the FSC, the FSA, the FSCA, the FFAJ, the ASIC. Why not trade The SWITZERLAND 20 Index here at a spread of 2.00?
City Index is another remarkable brokerage company from London entertaining a license from the Financial Conduct Authority. Like any solid brokerage, City Index provides access to a broad range of markets (over 12.000), including cryptocurrencies. Our favorite SWITZERLAND 20 Index is traded here at a spread of 4.00 points.
Capital Markets LLC is a cutting-edge ECN broker, headquartered in Hong Kong. Рrovides access to a broad range of markets 77 currency pairs, metals, natural gas, oil. Our favorite SWITZERLAND 20 Index is traded here at a spread of 0.0 points.